Argentina blasts WTO for its biased and tendentious reports on world trade

The Argentine government, together with Brazil, India and South Africa questioned the inclination, almost bias, of some trade measures elaborated by the World Trade Organization Director General.

WTO Director General Pascal Lamy in the “suspicious list” of Cristina Fernandez’

The presentation was made this week, 18 July during a meeting of the WTO panel that examines Trade Policies, according to an official Thursday release from the Argentine Foreign Ministry.

Referring to the issue Argentine president Cristina Fernandez said that the WTO “seems to have different criteria: one to measure that of emerging countries and their products and another for developed countries and their products”.

“The WTO does not consider trade barriers all the phytosanitary impediments implemented by the European Union”, said the Argentine president who nevertheless expressed satisfaction because the claim was shared by members from BRIC:

The president made the statements during a ceremony at Government House where she referred to mining projects and infrastructure.

Argentine criticism focused in the reports that do not include references to the “generous government programs of aid, subsidies and stimuli packages implemented by the developed countries to address the crisis and their negative impact on international trade”.

Likewise these reports “tend to minimize the severe distortions in agriculture markets because of the long established protectionist policies from developed countries” added the report from the Argentine Foreign ministry.

The WTO reports are also lagging on the impacts from the “growing proliferation of sanitary, phytosanitary and technical measures without the sufficient scientific and technical support and which harm the farmers from developing countries”

The Argentine government requests that “WTO reports on the current international trade situation be more balanced and less biased and tendentious in favour of developed countries as has been the case so far”.

Finally the Argentine release says that such is the case that in the last Report on World Trade from WTO, Director General Pascal Lamy acknowledges that non tariff barriers could be used for protectionist purposes and warned, as Argentina has been pointing out, that “it’s good time for the WTO to closer monitor those non tariff barriers”.

Argentina in the Dock - Mexico preparing WTO case against Argentina over suspension of auto trade accord

Mexico is prepared to take legal actions against Argentina after the government of President Cristina Fernandez announced its decision “to suspend” an automobile trade agreement.

 Economy minister Bruno Ferrari promises “a strong and energetic position”

“The Economy Ministry together with the Foreign Ministry is preparing a case with the World Trade Organization against Argentina,” said Economy minister Bruno Ferrari.

“With this, Mexico leaves it clear that it will maintain a strong and energetic position before this situation, using all legal mechanisms in its reach to firmly defend Mexico's commercial interests.”

An Argentine Industry Ministry source confirmed the auto accord would be suspended until Mexico negotiates with Argentina under the same conditions as it negotiated its auto accord with Brazil.

Argentina wants to avoid possible “asymmetries” between itself and Brazil. Argentina and Brazil are full-time members of the Mercosur which also includes Paraguay and Uruguay.

Argentina had asked in March for the accord to be renegotiated because it wasn't seen as sufficiently beneficial, but Mexico decided it wouldn't renegotiate because it had found no basis to do so as it had with Brazil.

Mexico renegotiated an accord with Brazil that same month to increase the amount of locally produced components in vehicles shipped from Mexico to Brazil, and to temporarily limit auto exports to and from both countries.

Ferrari urged Argentina to avoid protectionist policies.

Francisco de Rosenzweig, Deputy Minister of trade, said the term “suspension” isn't part of the legal language typically used to describe such trade agreements.

Ferrari said Mexico is asking Argentina to reconsider its decision to suspend the agreement “which has proved to be a beneficial instrument for bilateral trade relations.”

The trade deal was signed in 2002 between Mexico and the Mercosur countries. According to Mexico's Economy Ministry, Mexico's automobile exports to Argentina last year reached 888.7 million dollars, and the value of exports of automobile parts totaled 109.7 million.

Meanwhile, Mexico imported 237.7 million dollars in automobiles from Argentina and 67.5 million in auto parts.

US demands Argentina “immediately” ends the import licensing regime

The United States demanded on Friday that Argentina “immediately” end an import licensing regime and other curbs that have frustrated foreign suppliers while also expressing concerns about a “sweeping new import restriction” that Indonesia has imposed.

The comments came in remarks by a US official at the World Trade Organization in Geneva, copies of which were made available in Washington.

Rachel Bae, a US attaché, took a notably harder line with Argentina, which is already the target of a WTO suit filed by the European Union over steps the administration of President Cristina Fernandez has taken to discourage imports.

Those include an import licensing regime and an obligation on companies to balance imports with exports.

“Our hope is that Argentina will acknowledge our concerns and terminate these import-restrictive measures and practices immediately,” she said.

“In short, our question for Argentina, again today, is: When will the government put an end to the non-transparent and restrictive measures and practices that have been the source of such longstanding irritation and growing frustration to so many of Argentina's fellow WTO Members?”

In contrast, Bae began her remarks on Indonesia by stressing the Southeast Asian nation “is an important partner of the United States.”

But it has introduced a large number of new trade and investment restrictions “that threaten to make Indonesia's market impenetrable,” Bae said.

In related news WTO General Director Pascal Lamy said the organization will be deciding this year if Argentina must lift some of its import restrictions, which the EU says are not in line with the agency’s rules.

“The WTO will decide if Argentina has complied or not with its obligations established under the WTO rules, as requested by the Europeans,” Lamy said during the UN Rio+20 summit held in Rio de Janeiro, Brazil.

US criticizes Argentina import curbs at WTO

The United States today demanded that Argentina "immediately" end an import licensing regime and other curbs that have frustrated foreign suppliers while also expressing concerns about a "sweeping new import restriction" that Indonesia has imposed.

The comments came in remarks by a US official at the World Trade Organization in Geneva, copies of which were made available in Washington.

Rachel Bae, a US attache, took a notably harder line with Argentina, which is already the target of a WTO suit filed by the European Union over steps the South American nation has taken to discourage imports.

Those include an import licensing regime and an obligation on companies to balance imports with exports.

"Our hope is that Argentina will acknowledge our concerns and terminate these import-restrictive measures and practices immediately," she said.

"In short, our question for Argentina, again today, is: When will the government put an end to the non-transparent and restrictive measures and practices that have been the source of such longstanding irritation and growing frustration to so many of Argentina's fellow WTO Members?"

In contrast, Bae began her remarks on Indonesia by stressing the Southeast Asian nation "is an important partner of the United States."

But it has introduced a large number of new trade and investment restrictions "that threaten to make Indonesia's market impenetrable," Bae said.